Crystal Palace striker Jean-Philippe Mateta's move to AC Milan has been called off because of issues with his medical. But Palace are still set to sign Wolves forward Jorgen Strand Larsen in a £48m deal before Monday's 19:00 GMT transfer deadline.

France forward Mateta, who has been nursing a knee issue, had an initial medical examination on Sunday followed by additional tests on Monday. The Italian club have now pulled out of the £30m deal for the 28-year-old, who wants to leave Selhurst Park.

Palace had been unwilling to let him go without having a replacement, but agreed a deal for Strand Larsen and granted Mateta permission to have an initial medical in London before flying to Milan. Nottingham Forest have also been interested in the striker and had a £35m bid rejected by Palace last weekend.

After the 1-1 draw at Forest on Sunday, Palace manager Oliver Glasner said: "I expect either Mateta or someone else here as a striker. Everybody is really working very hard, but it is so close to the end of the window, so it makes it more difficult. I always try to be positive, so I hope. Worst case, we sell Mateta and no-one comes in, then it's not a good window for Palace."

Wolves, meanwhile, have moved to replace Strand Larsen and are close to reaching a deal for Southampton striker Adam Armstrong for an initial £7m. There is growing confidence the move will be done, with the Premiership's bottom club Wolves in danger of relegation to the Championship.

The 28-year-old has 11 goals for Saints in the Championship this season and has 43 in total for the club since joining from Blackburn Rovers in 2021.

Meanwhile, Palace are showing late interest in a move for Everton winger Dwight McNeil. McNeil is out of favour at Hill Dickinson Stadium and Palace are working on a deal to sign the forward. The 26-year-old has one assist in 14 Premier League appearances this season and Everton value him at about £20m.